Italy: Guidance on cooperative compliance regime
A voluntary arrangement between the tax authority and taxpayers intended to incentivize transparency and tax compliance.
Guidance on cooperative compliance regime
Pursuant to Law no. 111 of 2023, which directs the government to reform the tax system and became effective August 29, 2023 (read TaxNewsFlash), the government issued Legislative Decree no. 21 (effective January 18, 2024) to reinforce the “cooperative compliance regime” (CCR)—a voluntary arrangement between the tax authority and taxpayers intended to incentivize transparency and tax compliance through continuous and preemptive dialogue.
The decree lowers the CCR entry threshold in stages from €750 million in turnover in 2024 to €100 in turnover in 2028 and reduces for taxpayers who adhere to the CCR by two years (three years under certain conditions) the statute of limitations for the assessment of taxes. The decree also extends certain benefits to taxpayers that voluntarily adopt a “tax control framework” (TCF) and cooperate with the tax authority even if they do not meet the CCR entry thresholds.
Read a June 2024 report prepared by the KPMG member firm in Italy
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.